Momentum around the Parliamentary inquiry into the National Employment Standards (NES) continues to build, offering employers and HR leaders a meaningful opportunity to influence how Australia’s minimum employment standards evolve. For the first time since the introduction of the Fair Work Act, the Government is examining whether the NES still reflects the realities of a workforce where hybrid work is common, gig work is expanding, and wellbeing expectations are rising.

This review represents a practical and timely look at whether the current safety net still supports how Australians balance work, care and life, and how it might be strengthened to better match modern needs.

Why This Review Matters

The NES underpins contracts, policies, enterprise agreements and day-to-day HR practices across the national system. Any changes that emerge will guide how organisations approach workforce design, flexibility, wellbeing and minimum entitlements.

The inquiry is exploring whether the NES continues to:

  • Protect workers in an evolving labour market shaped by hybrid work, digital platforms and nontraditional employment arrangements.
  • Match modern expectations of balance, choice and autonomy.
  • Acknowledge psychosocial risks and support psychological health at work.
  • Recognise diverse experiences — including those of women, young people, older workers, First Nations employees and people who are differently abled.
  • Keep pace with how work is structured, scheduled and delivered in 2026 and beyond.

This review is about ensuring the foundations remain relevant and supportive as the world of work evolves.

What It Means for HR

The inquiry creates a need for reflection, consideration and preparation. The potential changes are significant, but they are also manageable and offer an opportunity for HR to clarify, simplify and modernise existing frameworks.

1. Contracts and Policies May Need Updating

Any adjustments to the NES will flow through to:

  • Employment contracts
  • Leave and flexibility policies
  • Rostering models
  • Enterprise bargaining strategies

HR teams can use this period to get ahead, reviewing what currently works well, what feels outdated and where improvements would create more clarity and consistency.

2. Consultation Will Become Even More Important

The inquiry emphasises consultation, and HR will play a central role in ensuring employees feel informed and heard. This is a chance to strengthen trust, simplify communication, and help leaders navigate the change withconsidered and relevant information.

3. Hybrid Work Could Become Clearer and More Formalised

If remote and hybrid work are more explicitly recognised, HR may need to define:

  • Expectations for remote work arrangements
  • Safety requirements for working from home
  • Dispute and escalation pathways
  • Recordkeeping obligations

Rather than restricting flexibility, clearer standards could make hybrid work more predictable and easier to manage, no longer an optional benefit but hard wired into standards.

4. Psychosocial Responsibilities May Expand

As regulators sharpen their focus on psychological health, HR will benefit from developing:

  • Stronger approaches to psychosocial risk
  • Better leader capability in managing wellbeing and workload
  • Better data and insights to identify trends early

These shifts can help organisations build safer, healthier, more engaging workplaces.

5. The Gig Workforce May Be Considered

If minimum protections are extended to gig or contractor workers, organisations may need to revisit how they engage and support these workers. This could open up new ways to build capability and talent pipelines across different forms of work, redefining HR scope and accountabilities.

What HR Can Do Now

As the inquiry progresses, HR have an opportunity to get ahead, and take practical steps to prepare as the strategic partner for the organisation:

  • Review existing contracts and policies for possible alignment gaps
  • Model the impact of new entitlements or structures
  • Participate in consultation opportunities, contribute
  • Strengthen internal capability on legislative interpretation
  • Support leaders to understand the scale and direction of potential reforms

These incremental steps help reduce risk, build confidence and keep organisations ahead of the curve.

A Moment for HR to Lead with Clarity and Confidence

The NES inquiry acknowledges an important truth: work in Australia has changed, and our employment standards may need to evolve with it. For HR professionals, this is not a dramatic turning point — it’s a constructive opportunity to modernise, clarify and improve the employment foundations that support organisations and employees alike.

By taking a thoughtful, consultative and proactive approach, HR can help ensure any changes strengthen the employee experience, reinforce fairness and flexibility, and create more sustainable and attractive workplaces for the future.